Sharp Surge in Wholesale Electricity Market Prices
First written in FY2021-Q3. 4 of 10 entries say "Mitigated", first in FY2021. Latest entry: FY2024.
The whole theme swung hardest in 2021: 4 of 15 companies on the "Worse" side.
7 other companies' latest entry also says "Mitigated".
- FY2024MitigatedAnnual report
「We seek to mitigate the risk of fluctuations in procurement prices for electricity purchased from JEPX by procuring a certain volume through bilateral transactions with power generators, as well as by raising selling prices to customers, including reducing the scale of the business as customers leave following the price increases.」
The filing describes measures to mitigate the impact of fluctuations in electricity procurement prices, including bilateral transactions, reviewing selling prices, and offering market-linked plans tied to JEPX spot prices. - FY2023RestatedAnnual report
「In addition to the contribution to sales from higher fuel adjustment charges, resulting from external conditions affecting retail electricity supply, wholesale electricity market prices remained below our group's assumptions, leading to lower cost of sales related to electricity procurement.」
The filing states that wholesale electricity market prices remained below assumptions, leading to lower procurement costs. - FY2023-Q3MitigatedAnnual report
「In addition to the contribution to sales from higher fuel adjustment charges, resulting from external conditions affecting retail electricity supply, wholesale electricity market prices remained below our group's assumptions, leading to lower cost of sales related to electricity procurement. As a result, performance progressed above our group's plan.」
The filing states that wholesale electricity market prices remaining below assumptions led to lower electricity procurement costs. - FY2023-Q2RestatedAnnual report
「To mitigate the impact of higher cost of electricity procurement, we reduced the volume of electricity supplied, including by suspending acceptance of new applications and asking existing customers to cancel their contracts, and raised supply unit prices for existing customers. As a result, performance progressed in line with our group's plan.」
The filing states that measures to address higher electricity procurement costs continued and that performance progressed in line with the plan. - FY2023-Q1MitigatedAnnual report
「To mitigate the impact of higher cost of electricity procurement, we reduced the volume of electricity supplied, including by suspending acceptance of new applications and asking existing customers to cancel their contracts, and raised supply unit prices for existing customers. As a result, performance progressed in line with our group's plan.」
The filing states that measures were taken to mitigate the impact of higher electricity procurement costs, including reducing supply volumes and raising supply unit prices. - FY2022-Q3MaterialisedAnnual report
「In the third-quarter consolidated accounting period, cost of sales increased because wholesale electricity market trading prices rose owing to soaring fuel prices, tight power supply and demand in winter, the earthquake off Fukushima in March 2022 and other factors, while electricity procurement prices under bilateral transactions also increased.」
Against the backdrop of soaring fuel prices, tight winter supply and demand, the earthquake off Fukushima and other factors, wholesale market prices and bilateral procurement prices rose, actually affecting cost of sales through an increase. - FY2022-Q2MaterialisedAnnual report
「In the second-quarter consolidated accounting period, cost of sales increased because, in addition to wholesale electricity market trading prices in autumn rising more sharply than in typical years, electricity procurement prices under bilateral transactions also increased.」
Higher autumn wholesale electricity market prices and bilateral procurement prices actually occurred and were reflected in higher cost of sales. - FY2022-Q1RestatedAnnual report
「Although we had secured sufficient electricity procurement through bilateral transactions to avoid the impact of higher wholesale market electricity prices in summer, cost of sales increased because wholesale market electricity prices remained at their usual levels; the impact on overall performance was minor.」
The filing states that bilateral procurement continued and that the impact of market price fluctuations on performance was kept minor. - FY2021MitigatedAnnual report
「The impact on our results was limited because we secured sufficient electricity through bilateral transactions, demand from our customers was low that month, and the price of electricity sold by our group into the wholesale electricity market also increased.」
States that the spike in wholesale electricity-market prices had only a limited impact on results because of bilateral procurement and other measures. - FY2021-Q3MaterialisedAnnual report
「The sharp rise in wholesale electricity market prices caused by tight power supply and demand due to the severe winter and adverse weather conditions in January 2021 did affect cost of sales during the third-quarter consolidated accounting period」
The filing states that tight supply and demand and higher market prices caused by the severe winter and adverse weather conditions actually affected cost of sales.